Baidu Exits the Travel Business, Stock Up 1%

China's search giant Baidu shut down its travel business on Wednesday.

Author: Belinda Zhou   

Baidu Inc. (Nasdaq: BIDU) shut down its travel business, Baidu Travel, on June 19, sending its stock up slightly Wednesday.

China's top internet search engine said in a statement on Wednesday that the service of Baidu Travel will cease on June 30, 2019, due to business adjustments.

All of the online information can be transferred to Baidu Cloud, which offers a cloud storage service with functions like file management and resource sharing.

Baidu Travel officially launched on April 28, 2011 and had a wide coverage with 43 percent of Chinese outbound travelers.

Baidu Travel is a tourism information community service platform designed to meet the various travel-related needs of users before and after the travel.

Its daily page views exceeded 20 million from a base of over 30 million registered users and 7 million active users.

"May you meet a better scenery in the days to come," Baidu said in a statement announcing the closure.

Baidu's American depositary shares were trading at $117.80, on Wednesday down 31 percent from $153.7 per ADS on May 16. The price price was affected by the announcement of financial results in the first quarter, as well as from its $1 billion share repurchase plan last month.